4.4 Price - notes
In the previous sections we examined the role, definition and nature of marketing, marketing planning, the marketing mix, marketing objectives, positioning and market research. We then looked at the classification of products, new product development, the product life cycle, product portfolios and branding.
In this section we will analyse and evaluate pricing strategies and polices.
By the end of this section you should be able to:
- Analyse the effectiveness of each pricing strategy
- Evaluate the impact of changes in the conditions of supply and demand
- Calculate and interpret price, income, cross- and advertising elasticity
- Explain the relationship between elasticities and the product life cycle
- Analyse the relationship between price elasticity and sales revenue